THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Tuesday, November 8, 1994 TAG: 9411080323
SECTION: LOCAL PAGE: B1 EDITION: NORTH CAROLINA
SOURCE: BY PERRY PARKS, STAFF WRITER
DATELINE: CAMDEN LENGTH: Short : 49 lines
A much-needed water system for the southern third of Camden County received a boost Monday when the Farmers Home Administration increased grant and loan amounts for the project.
The South Camden Water and Sewer District will receive a $1.6 million loan and a $2.18 million grant from the FHA, County Manager John T. Smith said. That's about $1 million more than expected under a 2-year-old agreement.
Camden officials have long pointed to a lack of infrastructure as a frustrating hurdle to development in the county. The new water system would give some 900 households piped access to Elizabeth City water, Smith said.
The district, which includes (and taxes) only the residents who would benefit from the water system, still needs to come up with $217,000 to meet a total project cost of more than $4 million, Smith said.
This is the fourth and largest dollar figure reached between the district and the federal agency in two and a half years of negotiations, Smith said. It comes as the district scrambles to meet a deadline for accepting bids it received a month ago.
Smith said officials did not know what the project would cost until they received bids, but they had expected that expenses might surpass available funds.
``If they hadn't given us any increase, the project would have just folded, I reckon,'' Smith said. ``It's good for us.''
The project has been in the works for about three years, since voters in the district approved a bond issue to borrow for the system, Smith said.
The water and sewer district has worked with 3rd District U.S. Rep. Martin Lancaster to secure higher funding from the Farmers Home Administration, a U.S. Department of Agriculture division that provides credit to rural organizations.
``With the election coming up, we figured if we were going to get any push from him, we'd better get it now,'' Smith said. ``It's a process that generally moves a whole lot slower than what we've been moving here lately.''
FHA State Director James C. Kearney said Monday that project funding is often amended after organizations receive different bids than expected.
``In most cases, we generally find a way . . . to work them out,'' Kearney said. by CNB